Rents in SoBo may rise as state could re­vive con­tro­ver­sial amend­ment to act

Hindustan Times ST (Mumbai) - HT Navi Mumbai Live - - FRONT PAGE - Ku­nal Puro­hit ku­nal.puro­hit@hin­dus­tan­

Seven months af­ter it de­cided to scrap the pro­posal to amend the rent con­trol act, af­ter flak from cit­i­zens, the state govern­ment has now de­cided to re­vive the plan. This move will af­fect the rent for sev­eral old prop­er­ties, es­pe­cially in the is­land city, which in­cludes south and cen­tral Mum­bai.

The state is now con­sid­er­ing lift­ing the freeze on the rent of homes above 860 sqft and com­mer­cial spa­ces above 500 sqft from the purview of the Maharashtra Rent Con­trol Act, 1999, a move which, if ap­proved, will make the rent of th­ese spa­ces on a par with the mar­ket. A ma­jor­ity of big prop­er­ties with frozen rents are in the is­land city. The pro­tec­tion of the Act is a rea­son why the real es­tate prices are high given the lim­ited real es­tate. Ten­ants of a large num­ber of houses in old build­ings, which are big­ger in size, pay less rent than the pre­vail­ing rates in the mar­ket as they are pro­tected by the Act.

The call to re­vive and re­tain this clause as part of the state hous­ing pol­icy was taken at a meet­ing called by chief min­is­ter Deven­dra Fad­navis on Wed­nes­day, to dis­cuss var­i­ous aspects re­lated to the state’s hous­ing pol­icy.

The de­ci­sion comes af­ter the hous­ing depart­ment pro­duced fig­ures to show that only 9% of res­i­den­tial prop­er­ties were above 860 sqft and would be af­fected by the de­ci­sion.


Newspapers in English

Newspapers from India

© PressReader. All rights reserved.